Market Briefly Recovers as Bitcoin Stabilizes At $5,600

After two days of continuous bloodbath, the cryptocurrency market briefly recovered as Bitcoin bounced back to the $5,600-level.

As of this writing, the premiere cryptocurrency was up by 0.88 percent to $5,599.4331 a piece with a market cap of $97.3 billion.

Brian Kelly, founder and chief executive officer of BKCM, said the recent drop of Bitcoin and the entire market could be attributed to the ongoing problems being experienced by Bitcoin Cash in its recent hard fork.

“Bitcoin Cash, which forked off of Bitcoin last year, is doing a hard fork. Now, when you do a hard fork, everybody usually agrees but in this particular case, everybody is not agreeing. So we’ve got ourselves a crypto civil war, and that has people in the market concerned,” he expressed.

However, Kelly said the market slump is only for the short term while resolving the conflict in Bitcoin Cash’s hard fork will take some time.

Notably, Bitcoin Cash is the only cryptocurrency from the top ten coins which recorded a decline at 7.86 percent to $365 a piece and a market cap of $7.08 billion.

Meanwhile, renowned crypto bigwig and founder of crypto investment bank Galaxy Digital Capital Management, Mike Novogratz, expressed that despite the bear market, there are many good developments in the industry that is not being highlighted.

“While it feels like a crappy bear market and it has been in coins – underneath it there’s all kinds of positive things… There are new technologies coming. There’s positive movement on the institutional adoption of the architecture needed,” he said in a Bloomberg interview.

Stellar booked the biggest gains among top coins with 7.49 percent growth to $0.25 and a market cap of $4.64 billion.

On the other hand, XRP, Ethereum and EOS went up to $0.47, $179.78 and $4.65, respectively.